TMI Blog2001 (3) TMI 87X X X X Extracts X X X X X X X X Extracts X X X X ..... e went in appeal to the first appellate authority. The appeal was allowed vide order dated December 11, 1987. While giving effect to the order of the Commissioner of Income-tax (Appeals), the Assessing Officer granted to the assessee a refund of. Rs. 3,22,211 which included interest under section 214 amounting to Rs. 90,402. This order was passed on October 24, 1988. At this stage, it may be noted that section 214 of the Act was amended by the Taxation Laws (Amendment) Act, 1984, with effect from April 1, 1985, and by virtue of the amending Act, sub-section (1A) was substituted. In other words, the Assessing Officer passed the order giving effect to the order passed by the Commissioner of Income-tax (Appeals) after the Taxation Laws (Amendm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y from the date on which the order of regular assessment was passed and since in the present case the order has been passed on July 25, 1983, the Assessing Officer erred in granting interest under section 214 from April 1, 1980. He, therefore, contended that the order passed under section 154 withdrawing the benefit of interest has been correctly passed. Findings : We do not find any merit in this appeal. In this appeal, we are concerned with the assessment year 1980-81. Sub-section (1A) was substituted in section 214 with effect from April 1, 1985. It not only refers to the appellate orders under section 250 and section 254 but it also refers to several other orders like orders under sections 147, 154, 155, 260, 262, 263, 264 and 245D. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lowed. Therefore, the amending Act, 1984, would apply to this case. Lastly, a bare reading of section 214(1A) indicates that the said section 214(1A) would apply to all cases where interest becomes payable as a result of an order under section 147 or section 154 or section 250 or section 254 or section 262 or section 263. Therefore, the Taxation Laws (Amendment) Act, 1984, is applicable to this case and we do not find any merit in the contention of the Department that the said amending Act is not applicable to the facts of this case. Accordingly, the above question is answered in the affirmative, i.e., in favour of. the assessee and against the Department. The appeal is, accordingly, dismissed with no order as to costs. C. C. expedite ..... X X X X Extracts X X X X X X X X Extracts X X X X
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